Do Kwon Breaks Silence: ‘Terra-Luna…Was Essentially My Life’

The Terraform Labs CEO gives first interview to Coinage, discusses Terra failure


Do Kwon interviewed; Source: Coinage


key takeaways

  • “I’ve never thought about what could happen to me if this fails,” Kwon said
  • “I, and I alone, am responsible,” he said

The founder of Terra, Do Kwon, has kept largely out of the spotlight since his flagship project collapsed in May. But in a new interview with Zack Guzman for Coinage, the Terraform Labs CEO reflects on his current predicament.

Kwon justified his confidence, which he now admits “seems super irrational,” on the market success of his Terra ecosystem as it was “inching close to $100 billion.”

“I’ve never thought about what could happen to me if this fails,” Kwon said.

The Terra creator said there was likely an insider at Terraform Labs who took advantage of information on the protocol’s vulnerabilities to profit — although he does not name anyone — but added, “I, and I alone, am responsible for any weaknesses that could have been presented for a short seller to start to take profit.”

‘Down infinite’

While the paper billionaire cannot quantify his losses, Kwon described being “down infinite.”

“There are probably not too many people that are alive with this type of experience, but it’s like, over the past five years, I just lived and breathed Terra,” he said.

He said that Terra was not a Ponzi scheme, as the earliest investors were among the hardest hit by the crash. Kwon faces allegations of fraud in South Korea, among other potential legal jeopardy.

“So what we’re going to do is we’re just going to put out the the facts as we know them. We’re going to be totally honest and deal with whatever consequences as they may be,” he told Guzman.

Kwon, who moved to Singapore prior to the Terra crash, said he did so out of fear for the safety of his wife and child.

Don’t miss the next big story – join our free daily newsletter.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

MON - WED, MARCH 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience:  Attend expert-led panel discussions and fireside chats  Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts   Grow your network […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Frax report cover.jpg


Frax saw continued development in its frxETH liquid staking derivative and Fraxlend money market throughout 2023. Frax V3 introduces an RWA strategy to drive utility to the protocol's cornerstone product, the FRAX stablecoin.


Nova Labs will hope to grow Helium’s hotspot network to reduce backup coverage costs paid to T-Mobile


The LinkedIn posting states that the position would “support the Federal Reserve System’s [CBDC] Research and Development program.”


Both central banks are exploring the impact a CBDC could have on an economy


Neutron core contributor Dutheil notes this is “a period of consolidation” in the Cosmos ecosystem


Safe has teamed up with Web3Auth to create tooling for building Ethereum applications on top of smart accounts


Wildcat wants to make undercollateralized lending terms completely transparent